Dec 23rd 1999
Idealab!, based near Los Angeles and created in 1996, was the first
Internet incubator. The firm is mainly a vehicle for the ideas of Bill
Gross—he is reputed to have “one a minute”. One of the first Idealab!
hatchlings was CitySearch, a website containing local information about
such things as which places to visit and where to eat.
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The founders of the dozens of recent incubators dream of repeating the feat of CMGI, which owns a stake in such popular websites as Lycos and AltaVista; or of the Internet Capital Group (ICG), which owns a portfolio of dozens of e-commerce firms. Both are now worth more than $20 billion.
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